World’s ten most expensive petrol hotspots revealed: Norway tops the charts – but where is Britain in the top ten?

This is Money takes a look at global petrol prices
and reveals the hotspots for expensive petrol and how much of the average disposable income goes on filling the tank.

Top ten: We reveal the top ten countries which have the most expensive unleaded costs worldwide

The petrol price squeeze

Petrol prices are a hot topic in
Britain – and even more so in the wake of recent events, with the petrol
panic seeing motorists rushing to the forecourt to fill up their tanks.

This has pushed unleaded per litre to
record highs, with the average pump price increasing by 4p in just two
weeks. The latest set of figures from petrolprices.com has it at an
eye-watering 142p a litre.

With
a planned 3.02p tax increase due in August thanks to the Government –
which means 60.97p of a litre of unleaded will be made up of duty and
roughly another 24p in VAT – Britain’s drivers and businesses reliant on
fuel are seeing an ever increasing strain on their finances.

But how do petrol prices in the Britain compare to other countries in the world?

Back in August we looked at the cheapest 10 countries for petrol. This list included oil rich countries such as Saudi Arabia and Libya. [more details].

Now This is Money, alongside commercial insurance specialist Staveley Head, takes a look at global petrol prices and reveal the hotspots for expensive petrol.

The data also looks at the average monthly disposable income people in each of the countries mentioned has after tax, meaning we can reveal how much percentage of monthly income is spent on petrol in each country.

Unsurprisingly, nine out of the top 10 countries in the list are in Europe while in one country, a whopping 61.1 per cent of monthly income is spent on petrol...

10. Belgium

Across the Channel, Belgium skims into the top ten with the average price of unleaded sitting at 140.8p per litre.

The average monthly disposable income after tax is £1,935.65 and the average spend on petrol is £169.08 – this means that 8.7 per cent of income is spent on fuel.

9. Eritrea

Average price of litre of unleaded: 141p

Percentage of income spent on petrol: 61.1 per cent

The African country, bordered by Sudan and Ethiopia, has a turbulent recent history, which has included a long fight for independence and wars against its neighbours.

Petrol prices in the country are among the highest in the world, but that is not its biggest problem, as two thirds of the country is on food aid, according to the BBC.

With the average monthly disposable income after tax of just £278.71 – much lower than any other country on the list – those that do own a vehicle will spend £170.29, or 61.1 per cent of their monthly disposable income on petrol – the highest on the list by some distance.

8. Sweden

Average price of litre of unleaded: 141.3p

Percentage of income spent on petrol: 7.7 per cent

The Northern European country is eighth on the list of expensive places for unleaded in the world and is bordered by the country which tops the list, Norway.

But despite its high petrol costs, monthly disposable income of £2,197.54 means that 7.7 per cent of that is spent on fuel – making it ninth on the list for how much is spent on petrol on a monthly basis.

7. Britain

Average price of litre of unleaded: 142p

Percentage of income spent on petrol: 10.3 per cent

Britain is the seventh most expensive for petrol, with prices pumped up in recent weeks in the wake of a forecourt crisis sending costs to record highs.

Duty is set to rise from August by another 3.02p and, as there may still be some upward movement in the price of Brent crude before then, Britain could find itself higher in the rankings by the summer.

The average monthly spend on petrol is £171.49 – this means that 10.3 per cent of income is spend on petrol – putting it fifth out of the ten countries in the list.

METHODOLOGY

This is Money alongside Staveley Head, have scoured a number of sources to find the average unleaded prices worldwide.

We then compared this to the average disposable income figures, based on Numbeo data.

Monthly petrol costs are based on an individual owning a car that does 37.8 MPG, driving 12,000 miles a year.

6. Denmark

Average price of litre of unleaded: 143p

Percentage of income spent on petrol: 8.1 per cent

Another Northern European country to make the list, petrol in Denmark is 1p more expensive on average compared to Britain.

But along with its neighbours, the country has high monthly disposable incomes - £2,124.18 and that means that 8.1 per cent of income is spent on unleaded, the third lowest on the list.

5. Greece

Average price of litre of unleaded: 145p

Percentage of income spent on petrol: 25.4 per cent

The crisis-hit country has seen petrol prices soar in recent times as political and economic turmoil hit the Southern European country.

With unemployment rates high and the ongoing tension from being involved at the heart of the eurozone crisis, the cost of petrol is yet another source of unrest in the country.

Prices have tipped up to 145p a litre – and with the average monthly disposable income after tax just £688.60, 25.4 per cent is eaten up by petrol costs.

4. Italy

Average price of litre of unleaded: 146.5p

Percentage of income spent on petrol: 10 per cent

Italy lands on the list at number four, with the average cost of unleaded reaching 146.5p.

The average monthly disposable income is £1,134.53, the average monthly spend on petrol is £176.32 – so a sizeable15.5 per cent of monthly income is spent on petrol.

3. Netherlands

Average price of litre of unleaded: 148p

Percentage of income spent on petrol: 10 per cent

Britain’s European neighbour comes in the top three – but is still far cheaper than Norway and Turkey, which top the list.

A litre of petrol in the country is roughly 6p a litre more expensive than Britain. However, with a slightly higher disposable monthly income (£1,784) than in Britain, 10 per cent of income is spent on petrol.

2. Turkey

Average price of litre of unleaded: 162p

Percentage of income spent on petrol: 34.2 per cent

The country in Southern Europe is close to the Suez Strait, and oil rich countries such as Egypt and Syria, but has the second highest petrol prices in the world.

The country has seen three petrol prices hikes in just a month, equalling an 8.5 per cent leap in that short time period, according to the Turkish press.

With a disposable income after tax of just £572.57, the country is also second behind Eritrea for the amount each citizen spends on fuel – 34.2 per cent of monthly income.

1. Norway

Average price of litre of unleaded: 164p

Percentage of income spent on petrol: 7.4 per cent

Norway officially has the most expensive petrol in the world. It also took the crown when we looked at petrol prices back in August.

The reason prices are so high in the country is the fact that motor fuel is taxed with both a road use tax and a CO2 tax.

However, despite the eye-watering cost of petrol, it is roughly 22p a litre more expensive than in Britain on average – workers in the country have higher wages than all the other countries on the list.

The average worker has a disposable income of £2,681.07 after tax, meaning that 7.4 per cent of wages are spent on petrol – the lowest amount out of all of the countries.

TEN MOST EXPENSIVE COUNTRIES FOR UNLEADED

Country

Average monthly disposable income after tax (£)

Average monthly petrol expenditure (£)

Percentage of monthly income spent on petrol

1. Norway

£2,681.07

£198.06

7.4%

2. Turkey

£572.57

£195.65

34.2%

3. Netherlands

£1,784

£178.74

10%

4. Italy

£1,134.53

£176.32

15.5%

5. Greece

£688.60

£175.12

25.4%

6. Denmark

£2,124.18

£172.70

8.1%

7. Britain

£1,660.52

£171.49

10.3%

8. Sweden

£2,197.54

£170.29

7.7%

9. Eritrea

£278.71

£170.29

61.1%

10. Belgium

£1,935.65

£169.08

8.7%

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World's ten most expensive petrol hotspots revealed: Norway tops the charts - but does Britain make the top ten?